Daily Indian Funding Roundup & Key News - 15 May 2026: Rapido Raises $240 Mn At $3 Bn Valuation, Legend Of Toys Bags ₹21 Cr, Flipkart Defers IPO To 2028
India's startup ecosystem saw meaningful action on 15 May 2026, with mobility, consumer brands, and electric vehicles drawing fresh capital. Three funding rounds were announced today, led by Rapido's $240 million primary infusion from Prosus at a $3 billion valuation. On the news front, Walmart-owned Flipkart has deferred its IPO to 2028, while healthtech unicorn Innovaccer cut 340 jobs as it pivots to an AI-native model.
Daily Indian Startup Funding Roundup - 15 May 2026
| Startup | Sector | Funding | Round | Lead Investors |
|---|---|---|---|---|
| Rapido | Mobility / Ride-hailing | ~₹2,016 Cr ($240 Mn) | Primary | Prosus (with WestBridge Capital, Accel) |
| Legend of Toys | Consumer / Toys | ₹21 Cr (~$2.5 Mn) | Pre-Series A | Singularity Early Opportunities Fund, Veltis Capital, Enzia Ventures, DeVC, Atrium Angels, Stride |
| The Sweet Change | D2C / FoodTech | ₹70 Lakh (~$84,000) | Early-stage | IAN Angel Fund (with Udaan Angel Partners) |
Rapido Raises $240 Million at $3 Billion Valuation
Bengaluru-based ride-hailing platform Rapido operates across more than 400 cities in India, offering bike taxis, auto rides, and cab services. Founded in 2015, it has positioned itself around affordable mobility and flexible earnings for its captain network.
The company has raised $240 million in a primary round led by Prosus, with participation from WestBridge Capital, Accel, and others. The fundraise is part of a larger $730 million primary and secondary transaction that values Rapido at $3 billion on a post-money basis.
Rapido plans to deploy the capital to expand demand in new and existing markets, scale its captain network, strengthen its technology stack, and hire talent. The firm will also deepen its footprint across tier II and smaller cities, where affordable mobility demand continues to rise.
Legend Of Toys Raises ₹21 Crore Pre-Series A
Legend of Toys is a premium toy brand focused on character-led products, co-founded in 2024 by Afshaan Siddiqui and Vinay Jaisingh. Its portfolio spans RC Drift Cars, Off-Road RC Trucks, 1:64 tabletop RC Drift Cars, and High-Speed RC Cars, priced between ₹1,599 and ₹8,799.
The startup has raised ₹21 crore (~$2.5 million) in a pre-Series A round, with participation from Singularity Early Opportunities Fund, Veltis Capital, Enzia Ventures, DeVC, Atrium Angels, and Stride. The company claims it has hit an ARR of ₹30 crore within 18 months and is growing 20% month-on-month.
Proceeds will be used to expand into new play categories, scale consumer marketing, build out digital and manufacturing capabilities, and enter international markets. Legend of Toys says a significant share of its direct-to-consumer sales is already unit economics positive.
The Sweet Change Raises ₹70 Lakh In Early-Stage Round
New Delhi-based The Sweet Change is a D2C brand selling natural sugar alternatives positioned as zero-calorie, zero-sugar, and zero-glycemic index. Founded in 2024 by Manvi Agnihotri and Sheen Hitashi, the brand targets both health-conscious consumers and those managing medical or lifestyle conditions.
The startup has raised ₹70 lakh (~$84,000) in an early-stage round led by IAN Angel Fund, the evergreen fund of IAN Group, with participation from Udaan Angel Partners. The Sweet Change claims to have crossed ₹1.5 crore in revenue and fulfilled over 12,000 orders through its own website.
The fresh capital will be used to strengthen product development, expand across e-commerce and quick-commerce platforms, build brand awareness, and grow the team. Over time, it is also eyeing opportunities in cafes, hospitality, and institutional partnerships.
Key Business News for 15 May 2026
Flipkart Defers IPO To 2028, Eyes EBITDA Profitability In FY27
E-commerce major Flipkart has reportedly deferred its public listing until at least 2028 as it focuses on profitability. Walmart, which owns 80% of the company, has asked Flipkart to pause fundraising efforts, including a planned $2-2.5 billion pre-IPO round, and instead target EBITDA breakeven in FY27. Flipkart currently holds a 50-60% share of India's ecommerce GMV with 220 million monthly active users, while continuing to invest heavily in quick commerce arm Flipkart Minutes, which scaled to 800 dark stores in Q1 2026.
Innovaccer Lays Off 340 Employees In AI Transition
Healthtech unicorn Innovaccer has fired 340 employees across India and the US in its third restructuring round in four years. CEO Abhinav Shashank told staff in an internal note that the firm is transitioning into an AI-native organisation, prioritising speed and measurable customer outcomes. The layoffs come roughly five months after the startup announced a ₹600 crore ESOP buyback, and follow last year's $275 million Series F round led by B Capital Group and others.
Ola Electric To Infuse ₹2,000 Crore Into EV And Cell Manufacturing Arms
Ola Electric's board has cleared a ₹2,000 crore investment into its wholly-owned subsidiaries: ₹1,500 crore into vehicle manufacturing arm Ola Electric Technologies (OET) and ₹500 crore into cell manufacturing arm Ola Cell Technologies (OCT). The transactions are to be completed by May 2027. The move comes ahead of Ola Electric's Q4 FY26 results on 18 May, after a tough Q3 in which operating revenue fell 55% YoY to ₹470 crore even as net loss narrowed 14% to ₹487 crore.
Uber To Open India Data Centre With Adani, New Engineering Campuses By 2027
Uber CEO Dara Khosrowshahi is visiting India as the ride-hailing giant prepares to launch its first data centre in the country through a partnership with the Adani Group. Uber also plans to open two new engineering campuses in Bengaluru and Hyderabad by 2027, with a combined capacity for around 9,600 employees. Khosrowshahi recently described Rapido as Uber's biggest rival in India, with Ola a distant third.
Muskaan Kapoor
